ISSN

2321-5763 (Online)
0976-495X (Print)


Author(s): Gautam M, T. Manjunatha

Email(s): gautamvkcmaps@gmail.com , tmmanju87@gmail.com

DOI: 10.52711/2321-5763.2021.00069   

Address: Gautam M, Dr. T. Manjunatha*
Tax Filer Trainee, Global Value Added Inc, Channasandra Layout, Near RNSIT College, Kengeri-Uttarahalli Main Road, Bangalore 560 098, Karnataka, India.
*Corresponding Author

Published In:   Volume - 12,      Issue - 4,     Year - 2021


ABSTRACT:
The study tests stability of CAPM beta in the Indian capital market. Beta is one of the debated issues in the finance literature. While Fama and French have argued that betas are no more relevant in the capital market, it is one of the prominent concepts used by the finance professionals worldwide. The study is based on NSE Nifty companies, Nifty and Sensex Indices prices from 2009 to 2019. We use market model on the sample data to assess the beta stability for different time periods. The result of the present study shows that betas of companies do not show any stability over the period of time, but weighted average portfolio beta shows some stability during the study period.


Cite this article:
Gautam M, T. Manjunatha. Empirical Testing of Beta Stability in Indian Capital Market. Asian Journal of Management. 2021;12(4):452-6. doi: 10.52711/2321-5763.2021.00069

Cite(Electronic):
Gautam M, T. Manjunatha. Empirical Testing of Beta Stability in Indian Capital Market. Asian Journal of Management. 2021;12(4):452-6. doi: 10.52711/2321-5763.2021.00069   Available on: https://ajmjournal.com/AbstractView.aspx?PID=2021-12-4-17


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